ECB’s Noyer: EUR not all that strong

The Banque de France Governor was interview in Les Echos:

  • No current reason for rate hike; inflation expectations below 2%
  • excess FX volatility is dangerous
  • real problem not EUR/USD rate; currencies of rising trade powers (China) need to strengthen relative to USD and EUR
  • EUR not particularly strong versus JPY, CHF, CAD, AUD
  • 2010 growth slightly above 1% next year in both France and Eurozone.

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